UPSC Prelims 2022 · GS Paper 1 · Q39

Science & Technology

Medium · Non-Fungible Tokens (NFTs)

Consider the following statements regarding Non-Fungible Tokens (NFTs):

1. An NFT is a blockchain-based token that can represent ownership of a unique physical or digital asset.

2. Because they are unique, NFTs cannot be exchanged for one another on a like-for-like basis.

3. NFTs can be traded at equivalency with one another, in the same way currency notes of the same denomination are interchangeable.

How many of the statements given above are correct?